Chinese authorities seized Jeunesse products valued at 1.5 billion yuan, approximately $210 million, on May 19th, marking the second-largest confiscation of the company's goods to date. This action, reported by Morning News Direct Sales, targeted an alleged cross-border smuggling operation.
The May 19th seizure adds to a previous incident in January where officials intercepted 4 billion yuan, or about $560 million, worth of Jeunesse merchandise. This earlier bust involved the same criminal group, according to authorities. The combined value of seized products now stands at around $770 million.
The Guangzhou Customs Bureau directed the May 19th investigation. In the early hours, under orders from the Anti-smuggling Bureau of the General Administration of Customs, Guangzhou Customs launched a special campaign. Code-named "Fighting 12," the operation specifically targeted the illicit import of health products through cross-border e-commerce. Five separate criminal organizations were dismantled during this effort.
Case officers confirmed the health products lacked the necessary legal permits for sale in China's domestic market. Smuggling gangs used cross-border e-commerce platforms to bypass regulations. They reportedly misrepresented trade methods to facilitate the entry of products. This practice undermines the rights of legitimate importers and exporters, disrupting standard trade flows.
Guangzhou Customs traced the products' route from America into China. The goods allegedly traveled via identity theft schemes, routed through Tianyi Logistics Company in Hong Kong. From Hong Kong, the shipments moved into Guangzhou. Guangzhou Ruizang Trading Co. then managed nationwide distribution. Jeunesse also reportedly maintained warehouses in a Shenzhen industrial park and a Shanghai logistics park to further distribute products across the country.
Jeunesse does not possess an import license for China. It is also not a legally recognized direct selling company in the country. The company never obtained the required Ministry of Commerce license to operate direct sales within China. This absence of qualification extends to the sale of imported products.
Limou, identified as the president of Jeunesse's Greater China region, was arrested in connection with the operation. This individual is believed to be Robin Lee, Jeunesse's President of Greater China. Authorities also detained twenty-five other suspects. The anti-smuggling department has since transferred the case to prosecutors for legal review.
Morning News Direct Sales has publicly labeled Jeunesse the "king of smuggling" within the direct selling industry. The outlet suggests the company has been funneling products into China for years through such illicit channels.
A separate report from Sina detailed claims made by some Jeunesse distributors in China. These dealers allegedly promoted the products as a preventative measure against COVID-19. One specific dealer even suggested a president, initially hesitant to use Jeunesse products, later adopted them after contracting the coronavirus and viewing Jeunesse marketing materials.
Jeunesse corporate headquarters in the United States has not issued a public statement regarding these seizures or arrests.